Allowed

Union of India v. M/S Karnataka Power Corporation Limited

Karnataka HC17 Sept 2026WA/1272/2026

Case brief

AI extract

What is this about?

The Division Bench allowed the writ appeal filed by the Revenue against a Single Judge's order that had quashed GST proceedings based on the Pramur Homes precedent. Since that precedent was itself overturned by a Division Bench in a batch of appeals (Writ Appeal No.1751/2024), the sole ground for the Single Judge's decision no longer held. The court set aside the impugned order and restored the writ petition for fresh consideration of the remaining grounds of challenge.

What did the court decide?

Impugned order dated 17.12.2025 set aside; Writ Petition No.34484/2025 restored to the Single Judge for consideration of other grounds of challenge; matter to be listed on 30.09.2026.

Union of India Vs M/S Karnataka Power Corporation… — GST and Indirect Tax | Karnataka HC (2026)

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HC-KAR

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NC: 2026:KHC:50840-DB WA No. 1272 of 2026

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CNR: KAHC010301252026

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU

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DATED THIS THE 17^TH DAY OF SEPTEMBER, 2026

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PRESENT

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THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE

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AND

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THE HON'BLE MRS. JUSTICE K.S. HEMALEKHA

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WRIT APPEAL NO.1272 OF 2026 (T-RES)

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BETWEEN:

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UNION OF INDIA

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THROUGH ITS SECRETARY

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MINISTRY OF FINANCE

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DEPARTMENT OF REVENUE

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GOVERNMENT OF INDIA

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NORTH BLOCK, NEW DELHI-110001 (REP. BY THE FINANCE SECRETARY)

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Digitally signed by C K LATHA Location: High Court of Karnataka

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THE JOINT COMMISSIONER OF CENTRAL TAX BANGALORE NORTH GST COMMISSIONERATE NO.56, HMT BHAVAN, BELLARY ROAD,

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BENGALURU-560032.

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THE COMMISSIONER OF COMMERCIAL TAXES (APPEALS-II), TRAFFIC TRANSIT MANAGEMENT CENTRE BMTC BUILDING, 4^TH FLOOR,

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ABOVE BMTC BUS STAND

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DOMLUR OLD AIRPORT ROAD

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BENGALURU-560071.

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THE ADDITIONAL DIRECTOR DIRECTORATE GENERAL OF GST INTELLIGENCE BENGALURU ZONAL UNIT OFFICE OF THE

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PRINCIPAL ADDITIONAL DIRECTOR GENERAL NO.112 SP ENCLAVE ADJACENT TO KARNATAKA BANK

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HC-KAR

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NC: 2026:KHC:50840-DB WA No. 1272 of 2026

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CNR: KAHC010301252026

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KH ROAD, BENGALURU-560027.

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THE STATE OF KARNATAKA VIDHANA SOUDHA, BENGALURU-560001 REP. BY ITS FINANCE SECRETARY.

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THE ASSISTANT COMMISSIONER OF COMMERCIAL TAXES LGSTO 20 DGSTO 01 NO.93 2^ND FLOOR CUNNINGHAM ROAD, BENGALURU-560052.

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…APPELLANTS

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(BY SRI. UNNIKRISHNAN M., ADVOCATE)

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AND:

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M/S. KARNATAKA POWER CORPORATION LIMITED NO.82, SHAKTHI BHAVAN, RACE COURSE ROAD, BANGALORE-560001, REP. BY SHRI GAURAV GUPTA MANAGING DIRECTOR AGED ABOUT 58 YEARS IT IS A LIMITED COMPANY (STATE GOVERNMENT UNDERTAKING).

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…RESPONDENT

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(BY SRI. NAVEEN KUMAR K.S., ADVOCATE)

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THIS WRIT APPEAL IS FILED UNDER SECTION 4 OF THE KARNATAKA HIGH COURT ACT PRAYING TO SET ASIDE THE ORDER DATED 17.12.2025 PASSED BY THE LEARNED SINGLE JUDGE IN W.P.NO.34484/2025 (T-RES).

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THIS APPEAL, COMING ON FOR ADMISSION, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:

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CORAM: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE and HON'BLE MRS. JUSTICE K.S. HEMALEKHA

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HC-KAR

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NC: 2026:KHC:50840-DB WA No. 1272 of 2026

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CNR: KAHC010301252026

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ORAL JUDGMENT

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(PER: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE)

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The appellants have filed the present appeal impugning an

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order dated 17.12.2025 [ impugned order ] passed by the learned Single Judge in Writ Petition No.34484/2025 [T-RES]. The respondent (writ petitioner) had filed the said petition assailing an order in appeal dated 06.02.2025 passed by respondent No. 3 (Commissioner of Commercial Tax Appeals-II).

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According to the respondent, the order in appeal was contrary to the provisions of the Central Goods and Services Tax Act, 2017 and Karnataka Goods and Services Tax Act, 2017. One of the grounds raised by the respondent was that the proceedings were commenced pursuant to a notice for consolidated years issued under Sections 73 and 74 of the CGST Act. The aforesaid petition was allowed holding that the issue involved is covered by the decision of this Court in M/s Pramur Homes and Shelters vs

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The Union of India and Others¹ .

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1 Writ Petition No.33081/2025 dated 11.12.2025

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HC-KAR

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NC: 2026:KHC:50840-DB WA No. 1272 of 2026

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CNR: KAHC010301252026

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The learned counsel for the appellants points out that the said decision in M/s Pramur Homes and Shelters ( supra ) was appealed by the Revenue before the Division Bench of this court in Writ Appeal No.407/2026. The said appeal was considered with a batch of other appeals which were allowed by an order dated 23.04.2026 [Writ Appeal No.1751/2024 and other connected matters]. Thus, the solitary ground on which the writ petition is allowed no longer holds good.

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The learned counsel for the respondent states apart from the challenge to the show cause notice on the ground that it had bunched up different periods, there were other substantial grounds which were not considered by the learned Single Judge. The learned counsel for the appellants also does not controvert the said contention.

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In view of the above, the present appeal is allowed. The impugned order is set aside. The Writ Petition being W.P.No. 34484/2025 is restored before the learned Single Judge for consideration of the other grounds of challenge.

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HC-KAR

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NC: 2026:KHC:50840-DB WA No. 1272 of 2026

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CNR: KAHC010301252026

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